US Dollar Stays Under Pressure

Forex News

The US dollar is trading in a narrow range relative to major currencies. Pressure on the American currency is speculated around the next head of the Fed. Meanwhile, the fall of the dollar is limited by strong US statistics, which strengthened investors' confidence in the economy's stability and increased the chances of another rate increase by the Fed this year.

The index of business activity in the US services sector, calculated by the Institute for Supply Management (ISM), rose to a level of 59.8 in September compared to 55.3 in August. As a result, the index reached its highest level since August 2005 (then the index was 61.3 points). Analysts predicted that the figure will improve only to 55.5 points.

The Australian dollar declined after the publication of weaker than expected retail sales in Australia. The volume of retail sales decreased in August by 0.6%.